project selection process

Six Sigma Executive SeriesSix Sigma Executive Series

Project Selection ProcessProject Selection Process

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Project Selection Process Copyright OpenSourceSixSigma.com

The Project Roadmap

Management

“Belt”

“Belt”

“Belt”

“Belt”

Project Identification and Launch (support given from “Belt”).

Solution to the problem and a Final Report (support given from a Champion).

Implement solution and maintain ongoing benefits (support given from “Belt”).Realize

Control

Improve

Analyze

Measure

Define

Recognize

Management

Management

Fin

din

g t

he s

olu

tion

of

Y =

f(

X)

Management owns 80% of the responsibility here.


The Six Sigma Project

Results

PracticalSolution

ControlPlan

StatisticalSolution

StatisticalProblem

Six SigmaProject

PracticalProblem

Generally a systemic or chronic problem which is impacting the success of a process or function.

A well defined effort that states the problem in quantifiable terms with known expectations.

Data oriented problem that is addressed with facts and data analysis methods.

Data driven solution with known confidence/risk levels versus an “I think” solution.

A method of assuring the long-term sustainability of the fix to the problem.

The solution is not complex, expensive or irrational and is readily implement-able.

Fin

din

g t

he s

olu

tion

of

Y =

f(X

) +

Tangible results measurable in metrics with quantifiable financial or strategic value.

Characteristics of a ProjectHas a financial impact to Earnings or a significant strategic valueThe problem is not easily or quickly solvable using traditional methodsIt is targeted to reduce the problem by >70% over existing performance levels

Focus is to solve a business problem that is:Affecting the success of the organizationAffecting costsAffecting employee satisfactionImpacting a Customer (external and/or internal)


Project Difficulty Distribution

Solving“World Hunger,”“Boil the Ocean”Type Problems.

Solving “Fruit on the Ground,”“Logic & Intuition”Type Problems – Yellow and Green Belt.

Solving “Process Optimization”“Complex Interaction”“Process Entitlement”Black and Master Black Belt Projects.

Difficulty and Cost of

Problems

Qu

an

tity

of

Pro

ble

ms

Too Hard -Are Usually

Management or Market Caused

TooEasy

Six Sigma Projects


The Following People Typically Identify Potential Projects:

• Champions• “Belts”• Process Leaders• Functional Managers/Process Owners

Any Employee Can Suggest a Project and Should Be Encouraged To Do So……However, It Should Be Considered and Sponsored by One of the Above

People

Any Employee Can Suggest a Project and Should Be Encouraged To Do So……However, It Should Be Considered and Sponsored by One of the Above

People

Project Originators


The most common mistakes in defining a potential project are:• Scope is too broad (solving world hunger or boiling the ocean).

•Symptoms include: too many output Y’s, multiple goals, numerous Process Owners, multiple departments.

•Solution: Divide problem into several projects.• Problem is too easy.• Problem solution is known. • It is a “just do it”; no problem analysis required.• Problem is a management or market issue – not a good “Belt”

project.• Long term research or development project, not a problem to be

solved with Six Sigma tools.

Common Mistakes in Defining Projects


Facts about Project Selection:

• Project Recognition & Definition are critical activities to the success of any project and to the Six Sigma improvement effort.

• Project Recognition & Definition are among the more important tasks a Champion performs.

• “When I seek a project, it usually stinks. But when the projects find me, they’re usually very good projects.”

Six Sigma Black BeltInternational Truck & Engine

Importance of Selection Process

RECOGNIZE PHASERECOGNIZE PHASE

Finding Areas Needing Improvement Finding Areas Needing Improvement ““Writing the Business Case”Writing the Business Case”

RECOGNIZE PHASERECOGNIZE PHASE

Finding Areas Needing Improvement Finding Areas Needing Improvement ““Writing the Business Case”Writing the Business Case”

Recognize


Opportunity Definition

Strategic

Step 1


Enabling Processes Core Processes Enabling Processes Core Processes

Structure of the Business Case

As a company, our__________ performance for the

___________ area is not meeting__________. Overall this is

causing____________ problems which are costing us a

much as$_______ per______.

Examples

1. As a company, our accounts receivablesperformance for the

finance invoicingarea is not meeting the goal of 47 DSO.

Overall this is causing cash flow and budgetproblems which

are costing us as much as $4Mper year.





much as$_______ per______.

Examples









much as$_______ per______.

Examples









much as$_______ per______.

Examples





As a company, our accounts receivables

performance for the finance invoicing area

is not meeting the goal of 47 DSO . Overall

this is causing cash flow and budget

problems which are costing us as much as

$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .

Receivables Warranty Cycle time Defects

Strategic

•Opportunity Identification

•Issues and Problems Matrix•Scope

•Statement of Work•Prioritized Business

Improvement Plan

•Opportunity Identification

•Issues and Problems Matrix•Scope

•Statement of Work•Prioritized Business

Improvement Plan


Enabling Processes Core Processes Enabling Processes Core Processes Enabling Processes Core Processes Enabling Processes Core Processes





much as$_______ per______.

Examples









much as$_______ per______.

Examples









much as$_______ per______.

Examples









much as$_______ per______.

Examples





Finding Problematic Areas of the Business






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .






$4M per year .

Receivables Warranty Cycle time Defects

Creating Logical Grouping Using Affinity Diagramming

Objective StatementReduce the overall personnel recruiting time from an average

of 155 days to 75 days, with an upper limit of 110 days. This will meet the current maximum goal of 100 days greater than 95% of the time. The new goal which will be achieved by June 1, 2002, will support our Employer of Choice goal and achieve a savings of $145,000.

Problem StatementRecruiting time for Production Planners is missing the goal 81% of the time. The average time to fill a request is 155 days in the

Human Resources employee recruitment process over the past 15 months. This is costing us $145,000 per year of additional laborand

rework costs.

Improvement Plan

Objective StatementReduce the overall personnel recruiting time from an average

of 155 days to 75 days, with an upper limit of 110 days. This will meet the current maximum goal of 100 days greater than 95% of the time. The new goal which will be achieved by June 1, 2002, will support our Employer of Choice goal and achieve a savings of $145,000.

Problem StatementRecruiting time for Production Planners is missing the goal 81% of the time. The average time to fill a request is 155 days in the

Human Resources employee recruitment process over the past 15 months. This is costing us $145,000 per year of additional laborand

rework costs.

Improvement Plan

Statement of Work

Priority Business Case Owner

Financial

Impact Sponsor

1

As a company, our accounts receivables performance

for the finance invoicing area is not meeting the goal of

47 DSO. Overall this is causing cash flow and budget

problems which are costing us as much as $4M per

year. Bob Smith $4M Ellen West

2

As a company our product recall performance for the

ice cream market area is not meeting the budget of

1.5%. Overall this is causing logistics, materials and

cost problems which are costing us as much as $2M per

year. Mary Jones $2M Bill Jones

3

As a company our final process yield performance for

the culture area is not meeting the targeted 88% yield.

Overall this is causing Floor space, shipment and

resource problems which are costing us as much as

$900K per year.

Ken Parks $900K Kathy Shank

4

As a company our shipping logistics performance for the

Smith’s market segment is not meeting the scheduling

and cost requirements. Overall this is causing delivery

issues and customer dissatisfaction problems which are

costing us as much as $3M in lost revenues and $1.5M

in expenses per year. Jill Williams $1.5M Earl Johnson

Business Opportunity Analysis Summary


Finding Areas Needing Improvement

RECOGNIZE Starts With the Highest Level View and Moves Downward Into More Specifics to Formulate Six Sigma Projects

•Start by assessing the higher level needs of the company; using any knowledge obtained from the Voice of the Customer (VOC) and/or the Voice of the Business (VOB).

•Identify gaps in achieving the higher level needs of the company, the critical success factors or key goals and objectives of the company.

• Achieving these goals should deliver customer satisfaction and business results

• Business areas or processes which are impacting your goals are identified

• Six Sigma projects are then selected with the goal of substantially improving these key processes

•Select those areas or functions of the business related to the gaps which are performing poorly based on expectations, competitive knowledge or known deficiencies in performance.

• Problems at this level usually are related to quality, cost or delivery



Problem “themes” will then become visible, such as:

• Product returns/warranty costs• Customer complaints• Accounts receivable and invoicing issues• Cycle time/responsiveness• Inefficiencies of defective services• Yield and subsequent rework or scrap• Capacity constraints• Inventory levels

You have now recognized where problems exist which need to be resolved in order to achieve our objectives.


Writing a Business Case identifies the problem area, a description/characterization of the high level problem and an estimate of the financial benefit if solved to expectations.

• When doing this the intent is not to define a Six Sigma project but to identify a problematic area.

• The description of the high level business problem does not have to be very detailed. The details come when defining the project(s) to resolve the Business Case. It can be as simple as:

• Warranty returns are excessive

• Accounts receivables are higher than target

• Product test yield and cost is not competitive

• Sales order responsiveness is causing customer complaints

• The potential financial benefit is our current best estimate given the data/knowledge we have. “Just get the number in the ballpark.”



1. At the corporate level, the Opportunity Analysis Summary becomes a high-level road map for the Business Process Improvement Program.

– It identifies, with some specificity, which areas of the business and which metrics are to be improved and what impact such improvement will have.

2. It serves, then, as a tool to assure subsequent project selection criteria remain focused on issues pertinent to the corporate objectives.

– As management, you want projects to improve metrics relevant to the corporate strategy. Using the Opportunity Analysis Summary as a first-level qualifier for project selection keeps the program focused on that which is important to the business.

3. For those just beginning a Six Sigma or Business Improvement Program, it is also used to develop a training program.

– The complexity of the issues identified dictates the training mix of Champion, Black, Green and Yellow Belts. The time frame in which the issues will be addressed as desired by Management dictates the quantity of each.

Opportunity Analysis Summary


• It begins by writing a Problem Statement which identifies: 1. A problem area. 2. A description/characterization summary. 3. An estimate of the financial benefit if solved to

expectations.

• When doing this, your intent is not to define a project, but to identify a problematic area which may later become an improvement project.

• The description of the business problem does not have to be overly detailed at this stage. The details come when defining the project(s) to resolve it.

• The potential financial benefit is your current best estimate given the data/knowledge you have. “Just get the number in the ballpark.”

Finding Problematic Areas of the Business

Problematic Areas


Six Sigma Business Assessment Writer

Instructions:

1. Capture Business Cases for the entire business – not just your area.

2. Complete each Business Case with your best estimate of the data.

3. Continue writing Business Cases until you have exhausted all known problematic areas.

4. Cut each Business Case into a separate paper strip.

5. Tape each cut Business Case to the designated area of the wall.

6. After all students have completed the Business Case writer, the instructor will provide directions to perform an Affinity Diagram.

Business Opportunity Assessment Generator ----------------------------------------------------------------------------------------------------------- As a company, our__________________________________________ performance for the _____________________________________ (area) is not meeting ________________________ (Expectations). Overall, this is causing ___________________________ problems which are costing us as much as ______________ ($) per ______________ (Time Period). ------------------------------------------------------------------------------------------------------------ As a company, our__________________________________________ performance for the _____________________________________ (area) is not meeting ________________________ (Expectations). Overall, this is causing ___________________________ problems which are costing us as much as ______________ ($) per ______________ (Time Period). ------------------------------------------------------------------------------------------------------------ As a company, our__________________________________________ performance for the _____________________________________ (area) is not meeting ________________________ (Expectations). Overall, this is causing ___________________________ problems which are costing us as much as ______________ ($) per ______________ (Time Period). ------------------------------------------------------------------------------------------------------------ As a company, our__________________________________________ performance for the _____________________________________ (area) is not meeting ________________________ (Expectations). Overall, this is causing ___________________________ problems which are costing us as much as ______________ ($) per ______________ (Time Period). ------------------------------------------------------------------------------------------------------------ As a company, our__________________________________________ performance for the _____________________________________ (area) is not meeting ________________________ (Expectations). Overall, this is causing ___________________________ problems which are costing us as much as ______________ ($) per ______________ (Time Period). ------------------------------------------------------------------------------------------------------------


Writing the Problem Statement

Structure of the Problem Statement

As a company, we are experiencing a problem with:

. The area where this problem is

occurring is: . The problem has existed

for at least: . The magnitude of the

problem is: and the expected

performance is: . The effect

this problem is having on our business is:

. This is costing us a much as $ per

.


Good Problem Statement Examples

As a company, we are experiencing a problem with: Employee

Turnover. The area where this problem is occurring is: All Stores.

The problem has existed for at least: 2 years. The magnitude of

the problem is: currently 88%, and the expected performance is:

< 85%. The effect this problem is having on our business is:

increased hiring and training costs and a lower than desired level

of customer service. This is costing us a much as $400K in costs

and $500K in Revenue per Year.

As a company, we are experiencing a problem with: Credit

Processing Equipment Uptime. The area where this problem is

occurring is: All Stores. The problem has existed for at least: one

year. The magnitude of the problem is: Uptime at 91%, and the

expected performance is: >95% Uptime. The effect this problem is

having on our business is: Service Turnaround Time and Lost

Sales. This is costing us a much as $300K per Year .



Good Problem Statement Examples

As a company, we are experiencing a problem with: Merchandise

Shortages. The area where this problem is occurring is: Various

Stores. The problem has existed for at least: 180 days. The

magnitude of the problem is: unknown, and the expected

performance is: No Shortages. The effect this problem is having on

our business is: Lost Sales & Expedited Delivery Costs This is costing

us a much as $25K per Month.

As a company, we are experiencing a problem with: Open

Maintenance Calls. The area where this problem is occurring is:

Companywide. The problem has existed for at least: 2 Years. The

magnitude of the problem is: average of 1.6 OMC per store, the

expected performance is: <1.2 OPC per store. The effect this

problem is having on our business is: systems inoperative causing

lost sales. This is costing us a much as $35K and per Month.



POOR PROBLEM STATEMENT:As a company, we are experiencing a problem with: employee turnover. The area where this problem is occurring is: in all stores. The problem has existed for at least: always. The magnitude of the problem is: really bad, the expected performance is: no turnover. The effect this problem is having on our business is: high hiring & training costs . This is costing us a much as a lot of money per month..

A POOR Problem Statement is ambiguous and subjective. It does not quantify the metrics descriptive of the challenge. While accuracy is not expected at this point, good guess-timates are necessary.



1. Capture ideas for the entire business – not just your area.

2. Complete each with your best estimate of the data.

3. Continue writing until you’ve exhausted all known problematic areas.

4. Provide completed sheets of to the Facilitator.

5. Facilitator will tape each to the designated area of the wall.

6. After all participants have completed these steps, the instructor will provide directions to perform an Affinity Diagram.

Problem Statement Instructions


Affinity Diagrams for Opportunity Analysis

• Allows an effective gathering and grouping of ideas– Allows a team to creatively generate a large number of

ideas / issues and then organize and summarize natural groupings among them to understand the essence of a problem and breakthrough solutions.

• Overcome “team paralysis”

• Encourages creativity by everyone on the team at all phases– Gain quick team consensus

• Typically has 40 - 60 items---not unusual to generate over 100 Problem Statements

becomes


Affinity Diagram Steps

Sort Into Groups

Tack Post-its to a

Wall

4 5

Generate Ideas

Describe the Issue

Driver gets lost

Oven temperature fluctuates10 percent of

pizzas are remade due to

burnt crust

Driver gets lost

Oven temperature fluctuates10 percent of

pizzas are remade due to

burnt crust

Form a Team

1 2 3


Load into Excel

Add Additional

Info

Create Header Cards

Order Form Pizza Oven Driver Schedule OtherOrder Form Pizza Oven Driver Schedule OtherOrder Form Pizza Oven Driver Schedule OtherOrder Form Pizza Oven Driver Schedule Other

1. Responsibility2. Cost3. Strategic Linkage

1. Responsibility2. Cost3. Strategic Linkage

6 7 8

Take Action

Sort into a Usable Format

Objective StatementReduce the overall personnel recruiting time from an averageof 155 days to 75 days, with an upper limit of 110 days. This will meet the current maximum goal of 100 days greater than 95% of the time. The new goal which will be achieved by June 1, 2002, will support our Employer of Choice goal and achieve a savings of $145,000.

Problem StatementRecruiting time for Production Planners is missing the goal 81% of the time. The average time to fill a request is 155 days in the Human Resources employee recruitment process over the past 15 months. This is costing us $145,000 per year of additional labor and rework costs.

Improvement Plan

Objective StatementReduce the overall personnel recruiting time from an averageof 155 days to 75 days, with an upper limit of 110 days. This will meet the current maximum goal of 100 days greater than 95% of the time. The new goal which will be achieved by June 1, 2002, will support our Employer of Choice goal and achieve a savings of $145,000.

Problem StatementRecruiting time for Production Planners is missing the goal 81% of the time. The average time to fill a request is 155 days in the Human Resources employee recruitment process over the past 15 months. This is costing us $145,000 per year of additional labor and rework costs.

Improvement Plan

9 10

Priority Business Case OwnerFinancial

Impact Sponsor

1

As a company, we are experiencing a problem with our accounts receivables

performance. This problem has existed for at least: 90 days. The magnitude

of the problem is DSO > 47 and the expected performance is DSO < 38. The

effect this problem is having on our business is restricted cash flow and

cost of money. This is costing us as much as $45K per month. Bob Smith $540K Ellen West

2 Mary Jones $350K Bill Jones

3 Ken Parks $750K Kathy Shank

4 Jill Williams $600K Earl Johnson

As a company, we are experiencing a problem with our product recall


of the problem is Recall > 1.5% and the expected performance is < 1.2%. The

effect this problem is having on our business is cost and material handling

delays. This is costing us as much as $350K per year.

As a company, we are experiencing a problem with our final process yield

performance. This problem has existed for at least: 1 years. The magnitude

of the problem is Yield < 88% and the expected performance is Yield > 93%.

The effect this problem is having on our business is greater storage space and

higher resource costs. This is costing us as much as $750K per year.

As a company, we are experiencing a problem with our shipping logistics


of the problem is schedule met < 89% and the expected performance is >96%. The

effect this problem is having on our business is restricted delivery issues and

customer satisfaction. This is costing us as much as $600K per year.

Priority Business Case OwnerFinancial

Impact Sponsor

1

As a company, we are experiencing a problem with our accounts receivables


of the problem is DSO > 47 and the expected performance is DSO < 38. The

effect this problem is having on our business is restricted cash flow and

cost of money. This is costing us as much as $45K per month. Bob Smith $540K Ellen West

2 Mary Jones $350K Bill Jones

3 Ken Parks $750K Kathy Shank

4 Jill Williams $600K Earl Johnson

As a company, we are experiencing a problem with our product recall


of the problem is Recall > 1.5% and the expected performance is < 1.2%. The

effect this problem is having on our business is cost and material handling

delays. This is costing us as much as $350K per year.

As a company, we are experiencing a problem with our final process yield

performance. This problem has existed for at least: 1 years. The magnitude

of the problem is Yield < 88% and the expected performance is Yield > 93%.

The effect this problem is having on our business is greater storage space and

higher resource costs. This is costing us as much as $750K per year.

As a company, we are experiencing a problem with our shipping logistics


of the problem is schedule met < 89% and the expected performance is >96%. The

effect this problem is having on our business is restricted delivery issues and

customer satisfaction. This is costing us as much as $600K per year.

OK, start affinitying!!

Affinity Diagram Steps


Headings:• Project No.• Function• Function Owner• Problem/Opportunity• Dept./Division• Problem Owner• Expectation• Impact• Financial Impact• Project in Process• Key Goal/Objective

Upon finalization of the Business Opportunity Analysis groupings, the information is entered into the Opportunity Analysis Matrix.

This becomes a high-level road map to Project Selection.

Organizing the Knowledge


Opportunity Analysis Matrix

Opportunity Analysis - XYZ Dairy

Project No. Function

Function Owner Problem Area

Problem Owner Expectation Effect

Annual Financial Impact

Project in Process

1 Total Plant Neal Changeover Times Plant Monte Best in Class Reliability 60,000$

2 Total Plant Neal Reliability Plant Monte >85% currently <85% 3,000,000$

3 Total Plant Neal CIP Systems Plant Gordon Time/Tracking Scheduling/Chemical Costs

4 Total Plant Neal Process Mntnce/Production Curtis Performance Downtime 1,200,000$

5 Total Plant Neal Sanitation WO Completion Plant Nikki/Lee/Ed 100% less than expected sanitation

6 Total Plant Neal Shrinkage IC Plant Lee Standards Financial Performance 3,000,000$

7 Total Plant Neal Shrink - filler to palletizing Culture & IC Lee/Ed Inventory Reporting

8 Total Plant Neal Shrink - obsolete inventories Culture & IC Alan/Mary

9 Total Plant Neal Milk & other ingredients Plant Lee/Ed Standards Loss 480,000$

10 Total Plant Neal Overproduction Plant Mary/Alan Plant Shrinkage 300,000$

11 Total Plant Neal Shrink - production problems Culture & IC Ed/Lee Below 2% Out of Spec 730,000$

12 Total Plant Neal Material Variance/Shrinkage Plant Ed/Lee Below 1.5% Out of Spec - Financial 1,500,000$

13 Total Plant Neal WIP or Spoilage Plant Ed/Lee Target Shrinkage/Service Level 600,000$

14 Total Plant Neal Product Recovery Air Blows Plant Curt/Grant Targets Product Loss

Total for Total Plant = 10,870,000$

15 Training Scott Employee Skill Level plant Melissa prod demand service & financial 200,000$

16 Training Scott Training I/C Plant Melissa I-85 Dept equipment failure 50,000$

17 Training Scott Skills & Training Assessment plant Scott OKEA performance 1,000,000$

18 Training Scott Training Maintenance Scott work completion 120,000$

19 Training Scott Enrollment Reduction Goals Plant Scott reduce by 10% Operations Staffing 60,000$

20 Frozen PR Lee/Monte Freezer Ice Cream Plant Lee prod demand lost production 400,000$

21 Frozen PR Lee/Monte Shrinkwrapper Sqround Line Lee prod demand lost production 200,000$

22 Frozen PR Lee/Monte Sqround Filler Sqround Line Lee prod demand lost production 500,000$

23 Frozen PR Lee/Monte IC Lines process reliability Plant Lee 85% Reliability currently running <85% 180,000$

24 Frozen PR Lee/Monte Novelty Process Reliability Plant Lee 85% Reliability currently running <85% 120,000$

25 Fluid PR Ed/Monte Culture Filler Process Reli Plant Ed 85% Reliability currently running <85% 120,000$

26 Fluid PR Ed/Monte Process Reliability Culture Dept Ed 85% Reliability currently running <85% 120,000$

27 Fluid PR Ed/Monte Skim Herring to Vats Culture Vat Ed Temp/Time time/scheduling 100,000$

28 Fluid PR Ed/Monte Vat Turning (?) Cheese Prod Ed Customer Service 250,000$

29 Fluid PR Ed/Monte I-85 1X6 Filler Ed/Monte Kroger Service Level

30 Fluid PR Ed/Monte Culture Production Wash/Water Cooling Grant Cooling Quality/Time

31 Whey Grant Outside Drain Service Dairy & IC Plant Grant/Ed Budget Quality/Lost Time 5,000$

32 Whey Grant Whey Concentration/Disposal Cottage Cheese Grant/Ed Lower Costs Lower Earnings 600,000$

33 Whey Grant Whey Disposal Cheese Prod Grant/Ed 50% Reduction Lower Earnings 604,000$

34 Finance Lisa Cost per Unit Price Culture Ed Kroger Financial Loss 150,000$

35 Finance Lisa Cost per Unit Price Fluid Ed Kroger Financial Loss 100,000$

36 Finance Lisa Service Level Culture Dept Mary 99% Confidence Problems

37 Reporting Ed/Lisa/Lee IC Tracking IC Plant Lee Reporting Needs Financial Tracking 200,000$

38 Reporting Ed/Lisa/Lee Exp Control of Trash Removal Plant Ed/Lee Exp Control Variance from Budget 375,000$

39 Reporting Ed/Lisa/Lee Finished Inventory Culture Ed/Lee Acctg Challenges 1,500,000$

40 Reporting Ed/Lisa/Lee Reporting Accuracy Prod/Whlse Invtry Ed/Lee 100% Accurate Less than expected

41 Reporting Ed/Lisa/Lee Production Reporting Culture Ed 100% Accurate Less than expected 600,000$

42 Reporting Ed/Lisa/Lee Warehouse Inventory Prod/Fin Ed/Lee Budget/Closing Problems 2,400,000$

43 Reporting Ed/Lisa/Lee Raw Ingredient Inventory Culture/IC Ed Allowed Variance Large Variance 1,200,000$

44 Fluid/Cult Michelle/Ed Product with Good Seals Plant Ed 100% Quality problems

45 Fluid/Cult Michelle/Ed Consistent Cottage Cheese Plant Ed Comment Free Quality problems

46 Fluid/Cult Michelle/Ed Mold Culture Products Lab/Ed Kroger Customer 150,000$

47 Fluid/Cult Michelle/Ed Cup Cheese Consistency Culture Ed Kroger Customer 150,000$

48 Fluid/Cult Michelle/Ed Mold Free Culture Products Plant Lab/Ed Mold Free Quality

49 Fluid/Cult Michelle/Ed Chocolate Delivery System IC Plant Lee Production Levels Shrinkage/Quality 50,000$

50 Frozen Michelle/Ed Flat Bar Quality Plant Lee Zero Comments Quality

51 Frozen Michelle/Ed Flat Bar Quality IC Plant Lee Customer Sat Consumer Comments 200,000$

52 Frozen Michelle/Ed Quality Assurance IC Novelty Lee Customer Sat Numerous Complaints 144,000$

53 Frozen Michelle/Ed IC Sandwich Quality IC Plant Lee Customer Sat Numerous Complaints 50,000$

54 Frozen Michelle/Ed Fruit Feeder IC Plant Lee Customer Sat Customer Complaints 100,000$

55 Fluid Shelf Michelle/Ed Fluid Milk Shelf Life Plant Lab 15 days Inefficient runs

56 Fluid Shelf Michelle/Ed Fluid Shelf Life Fluid Plant Lab 95% at Code Inaccurate Production Planning 100,000$

57 Fluid Shelf Michelle/Ed Air Quality Dairy Plant Lab Mfg Standards Quality/Shelf Life 240,000$

58 Consumer Michelle Quality - comments per million IC Plant Lee/Michelle Company Std Too many 1,000,000$

59 Parts Aaron/Curtis Stock Out Maint/Production Jenny Cycle Counts Down Time 600,000$

60 Parts Aaron/Curtis Parts flow to Control Area Maint Planners 97% Lost Time 60,000$

61 Reliability Aaron/Curtis Fire Fighting Maint All Mgrs Supervisors Quality of Work 1,200,000$

62 Reliability Aaron/Curtis Maint Dept IC Plant Aaron Reliability Startup Delays 120,000$

63 Reliability Aaron/Curtis Maint Planner/Scheduler SS Class Brad/Larry Neal's Productivity

64 FAC Curtis/Grant Electrical Power Factor Power Distribution Grant Set Target Below Power Factor Target 10,000$

65 FAC Curtis/Grant Back Stage Culture Grant Prod Needs Not enough capacity 1,200,000$

66 FAC Curtis/Grant Air System IC Plant Grant/Curtis Prod Targets Not enough capacity 400,000$

67 Ice Cream Lee Rework in the Freezer IC Plant Lee Target Lost Inventory 600,000$

68 Ice Cream Lee Production Loss IC/Novelty Lee 2% Shrinkage Above Target - inventory loss 900,000$

69 Ice Cream Lee IC Production Sqround Line Lee/Monte 85% Proficiency Shrinkage

70 Culture Ed Cottege Cheese/Starter Prod Culture Ed Prod Needs Losing Vats 1,662,273$

71 Culture Ed Production Loss Culture/Fluid Ed <2% Shrinkage Not at Target - Financial 240,000$

72 Culture Ed Inventory Control Culture Ed Target Inventory Adjustments 1,200,000$

73 Culture Ed Milk Shrinkage Fluid/Milk Ed <2% Shrinkage Shrinkage 650,000$

74 Culture Ed Production Spoils Ed Target Shrinkage - Financial 500,000$

75 Safety Scott Overall Safety IC Plant Jan Target Safety Issue 50,000$

Total Project Potential = 22,730,273$

project selection process

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